"Forty years ago, I began two years of service as a Peace Corps volunteer in Latin America. That experience left me with a great appreciation of the opportunities and advantages that I was given as a member of what was then a vibrant and growing American middle class. I have watched with increasing dismay the accelerating erosion of the American middle class. Indeed, I began to think that there was much about America of the late 20th century and the early 21st century that reminded of the highly class-stratified Latin America countries I saw as a Peace Corps volunteer. It is again time for broad debate on a fundamental question: Why should the workers whose productivity makes greater wealth possible not share in the benefits of that wealth? How can America be America without a strong and stable middle class?"

Forty years ago, I began two years of service as a Peace Corps volunteer in Latin America. That experience left me with a great appreciation of the opportunities and advantages that I was given as a member of what was then a vibrant and growing American middle class.

Although my parents were far from wealthy, our family lived in decent housing, had access to first-rate public education and adequate health care. My childhood, like that of millions of others of my generation, was stable and safe, and made me ready and eager to become a productive taxpayer and citizen.

I have watched with increasing dismay the accelerating erosion of the American middle class. Indeed, I began to think that there was much about America of the late 20th century and the early 21st century that reminded of the highly class-stratified Latin America countries I saw as a Peace Corps volunteer.

The insidious decline of our middle class has been documented in many studies and finally a lot of attention is being paid to the stratification of our society into the wealthy, the poor and a shrinking middle. Most Americans think this trend is not good for our country, and I am one of them.

Of the factors contributing to the decline of the middle class there is one that has not received the attention it deserves: the failure of American workers to benefit from increasing and near record productivity. In my youth, proactive government policy and the power of labor unions ensured that the benefits of productivity growth were broadly and fairly shared.

Today the policy of the Federal Reserve is to raise interest rates at the first hint of wage inflation and beat it down vigorously and rapidly.

Many have argued that this discipline on wage inflation should be matched by equal devotion to fighting other sources of inflation, such as out of control federal budget deficits, the trade deficit that drives down the value of the dollar and increases the cost of imports, dependence on foreign oil and runaway executive compensation.

There is, however, a corollary to the zero tolerance policy that almost never gets discussed: If wages consistently rise at a lower rate than the rate of increase in productivity, the result is a transfer of wealth from wage earners to corporate managers and corporate profits.

As shown by recent studies, including the Keystone Research Center's "State of Working Pennsylvania 2006," the benefits of the increase in national wealth created by productivity growth are flowing to a relatively small number of privileged people who are amassing great fortunes while wage earners' standard of living declines or at best stagnates.

As in Latin America, the concentration of income and economic power is bad for the middle class, for upward mobility and, ultimately, for American democracy. Witness the recent scandals associated with the unprecedented amount of money flowing though Washington lobbyists to secure legislation favorable to business interests, notably energy and pharmaceutical companies and the private firms managing the "reconstruction" of Iraq.

The inability of American labor unions to organize millions of workers in much of American business is one root cause of the skewed distribution of the benefits of increased productivity. In the absence of collective bargaining, American workers have less and less leverage to demand and receive fair wages from the employers who profit from their labor.

Unfortunately, our national government has shown nowhere near the interest in protecting American workers rights to organize as it has in squelching any possibility of wage inflation in the economy. This is an unbalanced and ultimately destructive national economic policy. It must be fought with great determination and vigor.

It is again time for broad debate on a fundamental question: Why should the workers whose productivity makes greater wealth possible not share in the benefits of that wealth? How can America be America without a strong and stable middle class?

MARK WIDOFF is president of the Keystone Research Center's board of directors and served as Pennsylvania's first consumer advocate.

All Volunteers Safe in FijiAll Volunteers in Fiji are safe and accounted for. The Peace Corps is monitoring the situation very closely. Volunteers are on standfast but there are no plans for evacuation at this time. Peace Corps is working closely with the US embassy and with host country partners to monitor the situation. Peace Corps is confident that volunteers are not in harm's way. The military seized control of Fiji on December 5 after weeks of threats. Subscribe to our news feed to read the latest breaking news.

Ron Tschetter in Morocco and JordanOn his first official trip since being confirmed as Peace Corps Director, Ron Tschetter (shown at left with PCV Tia Tucker) is on a ten day trip to Morocco and Jordan. Traveling with his wife (Both are RPCVs.), Tschetter met with volunteers in Morocco working in environment, youth development, health, and small business development. He began his trip to Jordan by meeting with His Majesty King Abdullah II and Her Majesty Queen Rania Al Abdullah and discussed expanding the program there in the near future.

Chris Dodd's Vision for the Peace CorpsSenator Chris Dodd (RPCV Dominican Republic) spoke at the ceremony for this year's Shriver Award and elaborated on issues he raised at Ron Tschetter's hearings. Dodd plans to introduce legislation that may include: setting aside a portion of Peace Corps' budget as seed money for demonstration projects and third goal activities (after adjusting the annual budget upward to accommodate the added expense), more volunteer input into Peace Corps operations, removing medical, healthcare and tax impediments that discourage older volunteers, providing more transparency in the medical screening and appeals process, a more comprehensive health safety net for recently-returned volunteers, and authorizing volunteers to accept, under certain circumstances, private donations to support their development projects. He plans to circulate draft legislation for review to members of the Peace Corps community and welcomes RPCV comments.

He served with honorOne year ago, Staff Sgt. Robert J. Paul (RPCV Kenya) carried on an ongoing dialog on this website on the military and the peace corps and his role as a member of a Civil Affairs Team in Iraq and Afghanistan. We have just received a report that Sargeant Paul has been killed by a car bomb in Kabul. Words cannot express our feeling of loss for this tremendous injury to the entire RPCV community. Most of us didn't know him personally but we knew him from his words. Our thoughts go out to his family and friends. He was one of ours and he served with honor.

Peace Corps' Screening and Medical ClearanceThe purpose of Peace Corps' screening and medical clearance process is to ensure safe accommodation for applicants and minimize undue risk exposure for volunteers to allow PCVS to complete their service without compromising their entry health status. To further these goals, PCOL has obtained a copy of the Peace Corps Screening Guidelines Manual through the Freedom of Information Act (FOIA) and has posted it in the "Peace Corps Library." Applicants and Medical Professionals (especially those who have already served as volunteers) are urged to review the guidelines and leave their comments and suggestions. Then read the story of one RPCV's journey through medical screening and his suggestions for changes to the process.

The Peace Corps is "fashionable" againThe LA Times says that "the Peace Corps is booming again and "It's hard to know exactly what's behind the resurgence." PCOL Comment: Since the founding of the Peace Corps 45 years ago, Americans have answered Kennedy's call: "Ask not what your country can do for you--ask what you can do for your country. My fellow citizens of the world: ask not what America will do for you, but what together we can do for the freedom of man." Over 182,000 have served. Another 200,000 have applied and been unable to serve because of lack of Congressional funding. The Peace Corps has never gone out of fashion. It's Congress that hasn't been keeping pace.

PCOL readership increases 100%Monthly readership on "Peace Corps Online" has increased in the past twelve months to 350,000 visitors - over eleven thousand every day - a 100% increase since this time last year. Thanks again, RPCVs and Friends of the Peace Corps, for making PCOL your source of information for the Peace Corps community. And thanks for supporting the Peace Corps Library and History of the Peace Corps. Stay tuned, the best is yet to come.

History of the Peace CorpsPCOL is proud to announce that Phase One of the "History of the Peace Corps" is now available online. This installment includes over 5,000 pages of primary source documents from the archives of the Peace Corps including every issue of "Peace Corps News," "Peace Corps Times," "Peace Corps Volunteer," "Action Update," and every annual report of the Peace Corps to Congress since 1961. "Ask Not" is an ongoing project. Read how you can help.

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Story Source: The Harrisburg Patriot

This story has been posted in the following forums: : Headlines; COS - Dominican Republic; Economics; Speaking Out

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